Category Archives: Business

Integrated Business Portfolio-BUS 495

Integrated Business Portfolio-BUS 495

 

Table of Contents

A. Professional Resume ……………………………………….……………..1 ……………………………………………………………………………….  
B. Outcomes ………………………………………………………………………………………………  
  Outcome 1……………………………………………………………………3  
  Outcome 2 …………………………………………………………………..4  
  Outcome 3 ……………………………………………………………………5  
  Outcome 4 ……………………………………………………………….…6  
  Outcome 5 …………………………………………………………………..7  
  Outcome 6 ………………………………………………………………….8  
  Outcome 7…………………………………………………………………..9  
  Outcome 8 ………………………………………………………………….10  
     
C. Evidence Used to Support Learning Statements  
  Tab C-1 – The Business Strategy Game Online Simulation – Years 12 and 13

Decisions (example)

Tab C-2 – The Business Strategy Game Online Simulation – Years 18 and 19

Decisions (example)

Etc.

 
 

EDUCATION
·         Educational Institution and Degree Dates
·         Educational Institution and Degree Dates
Professional Registration and Certifications
·         List and describe here
·         List and describe here

Business-Related Employment History

·         Employment and description Dates
·          Employment and description Dates

PROFESSIONAL ACTIVITIES OUTSIDE OF YOUR EMPLOYMENT SETTING

·         Activity and description Dates
·         Activity and description Dates

EMPLOYMENT-RELATED COMMITTEE AND PROFESSIONAL ACTIVITIES

·           Activity and description ·         Dates
·         Activity and description ·         Dates

CONTINUING EDUCATION ACTIVITIES

·         Activity and description ·         Dates
·         Activity and description ·         Dates

AWARDS AND HONORS RECEIVED 

·         Award or honor received ·         Dates
·         Award or honor received ·         Dates

PUBLICATIONS AND PRESENTATIONS

·         List and describe here ·         Dates
·         List and describe here ·         Dates

SPECIAL COMPETENCIES AND SKILLS

·         List and describe here ·         Dates
·         List and describe here ·         Dates

 

Outcome 7

  1. Communicate effectively, orally, and in writing.

Characteristics:

  • Written assignments are completed with attention to proper mechanics (grammar, spelling, punctuation) and ideas are presented in an organized, professional manner.
  • Presentations are professional in both their visual construction as well as any accompanying narration.

Learning Statements: Learning Statements:

  • I have developed knowledge on effective oral language instruction. Oral communication is a significant aspect of oral communication. I have gained knowledge on the preparation and presentation of speech as a necessary aspect of oral communication. Oral communication is the most frequently used as a communication medium. Oral communication enables individuals to learn about themselves and others as well through speaking and listening. Oral communication involves thinking, analyzing ideas, developing knowledge, and using listening skills in order to communicate effectively with others. Oral communication is a critical aspect in developing reading and writing skills. Various components can help an individual to develop oral communication. Tese include developing listening and speaking skills, learning vocabulary and conceptual knowledge, and developing auditory memory.
  • I have gained knowledge on using proper mechanics is in writing. Communication is a basic human aspect. It is important to not only students but to the general population. The ability to express logically ideas in writing is a significant aspect in communication. Communication is a critical aspect in the business world. One must learn how to communicate effectively through writing to be successful in the business world. Written communication forms a major component in business. For instance, business communication involves producing reports, writing letters, notices, memoranda, and other written aspects. I have gained knowledge in synthesizing and analyzing the written text. For instance, I can be able to interpret business reports. I have also developed proficiency in utilizing the appropriate writing mechanics of grammar and writing.
  • I have developed practical skills with regard to delivering formal and informal visual presentations to a variety of audience. This is another significant aspect of communication. Presentations can be formal or informal depending on the context in which they are delivered. Presentations enable individuals to explain complex ideas in an easy way. Most informal presentations involve storytelling. While delivering presentations, the speaker needs to make point about three critical aspects. First, the speaker must be aware of the audience. The presentation should be informative to the audience. The presentation message should also be meaningful to the audience.

Evidence Used to Support Learning Statements:

  • Tab C-X, Title, p. x (See tab examples from Outcomes 1 and 2)

International Economics

International Economics

Assessment 1:

Note: This is a group assessment. In any group maximum of 3 members are allowed. In mentioned cases provide a neat diagram to explain your answer. Make sure to label axes properly. Else points will be deducted. The maximum possible points is 40.

Maximum points: 40 points

  1. The following excerpt is from the case study “The Euro in crisis: Decision Time at the European Central Bank”. (distributed in the class)

“……a bailout for Greece would send a signal to other indebted member states that the ECB would step in if private lenders become nervous.”

Answer the following questions with appropriate diagram and using AD-AS model, Money market, aggregate expenditure model, and forex market (as required). For part a, b and c appropriate diagrams are MUST. Else points will be deducted.

  1. When ECB went out for a bail out then what was expected to happen to the interest rate in Greece? (10 points)

At this moment, many European countries were still suffering from the effects of the 2008 economic crises. Greece is one among the many European countries that were in the verge of collapsing considering that it did not have enough funds to run its operations. However, on May 8, 2010, finance ministers of 16 Eurozone nations met in Brussels to discuss on the best way to help Greece out of its current situation back then. After a lengthy discussion, they settled for a bailout. However, this bailout did not come without adverse effect. The decision of the European Central Bank to bailout Greece could have a negative effect on the interest rates in the country. Having a large chunk of money in the economy after the recession would increase the amount in circulation in the economy of Greece and hence lead to an increase in the interest rate of the country (Trumbull, 2010). Having a lot of funds in the circulation would definitely lead to inflation which then would require the banks to raise their interest rates in the attempt to control the inflation in order to feel and see that value of the bailout. Despite the fact that economy cannot run without enough funds, a lot of funds would do more of harm than good. On the same note, if the interest rate of Greece increases, it becomes difficult for people to have access to loans.

  1. Comment on the expected outcome of this policy on behalf of ECB. Provide diagram and detailed explanation on output and prices. (10 points)

Despite the bailout having adverse effects at the European level, the bank itself would be affected in various ways. The primary goal of any bank is to stabilize the prices of goods and services in any country, and the bailout meant that the bank would be going against this principle. Going on with the bailout, meant that the European central bank was not insulated against the political pressure that may be present in the specific countries.  Moreover, considering that the European central bank is not directly associated with any specific country, bailing out Greece would have been seen as if the bank was meddling with political independence of members. As a matter of fact, meddling with Greece bailout, it would have prompted other countries such as Spain which was going through the same situation to stake their claim of needing financial assistance from the bank. In general, we can say that although the bailout would have saved Greece from collapsing economically, it would also have triggered other unwanted and adverse effects particularly from political institutions from other countries.

On the same note, the bailout would lead to an increase in the total output of the country considering that Greece will be in a position to produce more. Having enough cash in the economy helps the country to increase its investment opportunities and chances considering that the white collar sector may not be having enough employment opportunities. However, there is always a negative correlation between prices and outcome. An increase in output leads to a decrease in prices of goods and services. Since the output is high and there are many suppliers of the same product, there is no stiff competition for the available goods and services, and this helps to lower the prices of these commodities (Campello, 2010). On the other hand, when the output is low it raises the prices of the commodities and services since all customers would be fighting for the available goods.

International Economics
International Economics

From the diagram above, we can see the negative correlation between the prices of commodities and the output of the same in Greece after the bailout is effective. If the prices moves from P1 to P2 the output reduces from Y2 to Y1.

  1. c) If government of Greece also increases (assume) the expenditure (expansionary fiscal policy) then what do you think can potentially happen to prices? Provide the relevant diagram and explain your answer.(10 points)

If Greece employs expansionary fiscal policy, the prices will go up. Expansionary fiscal policy involves more government spending which leads to increased aggregate demand. Thus, the chances are that there will be an increase in the amount of money in circulation. This means that most individuals if not all will have money to purchase goods and services at any price thus increase the demand for the available goods and services (Trumbull, 2010). This effect leads to inflation which is the continued and persistent rise in prices of goods and services as a result of higher demand in the economy

higher demand in the economy

An increase in the Greece government expenditure would lead to an increase in the nation income thus an increase in aggregate demand. From the diagram above, it is easy to tell that as the GDP increases from Y1 to Y2 so does the aggregate demand as it moves from AD1 to AD2. This movement in aggregate demand triggers the price to increase from P1 to P2. Considering that citizens have enough money, they will be fighting for the available goods and services regardless of the price.

  1. Overall do you think that bail out of Greece is healthy policy from the perspective of ECB? Answer this one in context of the Case study. ( 5 points)

Yes. The ECB’s main mandate is to protect the value of the euro and extensively the euro itself. Bailing out Greece would have forced the bank to engaged in a fiscal transfer. The formation of the new European Financial Stability Fund (EFSF) demanded support from member states; this support, however, was put to risk by the ECB as its move to bail out Greece risked reducing vital political support for the formation of EFSF.

The main role of the new European Financial Stability Fund is to act as a financial backstop for any Eurozone country that was having troubles accessing the bonds markets. This setup sends a signal to Portugal, Greece, and Spain that the ECB would provide a backstop in case of fiscal crisis.

If Greece were left to default otherwise it would only lead to other low states like Portugal and Spain to follow the same suite, therefore, sending the whole EU spirally into a crisis, the euro would depreciate and thus the overall economic situation of the Eurozone would worsen further. Setting up financial stability through the bail out of Greece and the formation of European Financial Stability Fund is a long-term solution to such contagion. Therefore, the euro value would be protected, and the euro itself defended through the bailout of Greece. The protection of the Euro value is the main objective of the European Central Bank thus bailout of Greece is a healthy policy since it aids the ECB in stabilizing the euro value.

  1. Explain why a group of economist thinks that a common currency like Euro for the region is not a good idea. Restrict your answer to the concepts discussed in the class and the case Study. Page limit is one page. (5 points)

The Euro like any other new idea being brought into existences suffered a number of criticisms that it was not a good idea. Economists such as Milton Friedman, Henry Kaufman, and Martin Feldstein warned that the euro as a single currency could trigger a civil war in Europe. Other Economists emphasized on the risks of centralizing monetary policy to the common decision-maker ECB while fiscal authority was controlled by the member states. These economists alerted that individual states had an incentive to over-stimulate their economies through fiscal imprudence because the benefits of fiscal stimulus were local and the costs of monetary tightening were felt across Europe (Trumbull, 2010). This act would only weigh the ECB to charge higher interest rates than might otherwise be necessary to meet their inflation targets, resulting in slower economic growth across the Eurozone.

References

Campello, M. G. (2010). The real effects of financial constraints: Evidence from a financial crisis. Journal of Financial Economics, 97(3),, 470-487.

Trumbull, J. G. (2010). The Euro in Crisis: Decision Time at the European Central Bank.

Related:

Design with UML

Nvidia company valuation and Cost of Capital Estimation

Nvidia company valuation and Cost of Capital Estimation

Introduction

NVIDIA Corporation is an American based technology company. It basically designs graphics processing units, gaming among other developed mobile computing systems. Established in the 1990s with a startup capital of $40,000 the company has recent financial reported growth across all segments. On this report, both theoretical and practical cost of capital estimation and company valuation are discussed. Exhibits, Appendix for this report and their sources are also presented for ease understanding.

Overview:

  • Introduction to theory of cost of capital
  • Models used to estimate cost of capital
  • Data used in models for cost of capital estimation and its application to valuation.

The term Cost of capital can be explained from two perspectives. To the Investors, it is the rate of return required by the market to attract funds for investment. Primarily on the company capital structure, it includes the following three components; Long-term debt, preferred equity and common equity. Key characteristics of cost of capital are;

  • It is associated to the market.
  • Investment driven
  • Metrics are based on nominal terms
  • Based on market value and not book value

Case1. Sales growth forecast and terminal growth rate after terminal year.

Sale forecasting means projection of sales performance at a terminal period. This is affected by both external and internal factors within the industry and the company. Methods of performing a sale forecasting Qualitative and Quantitative. Quantitative forecasting applies historical data and make assumption on pattern to forecast the future. Sales forecast is useful to the investors in making decision regarding investment. We first gather data of sale values for previous years. For this case, we shall use a Time series model moving average method. This take average of the sales over set number of years. The formula below is applied;

Sales growth Forecast;

Forecasting sales involves the following steps for an Enterprise;

  1. Getting the Historical data and the current year sales
  2. The Income Statement starts with Current year sales always
  3. Forecasting the sales growth with be given by

Sales= Previous year’s sales * (1+ growth)

The terminal growth rate is a steady rate at which a company expected free cash flow are assumed to grow at. The terminal growth rate formula is given as follows,

Where, .

Weighted average cost of capital is the blended cost of capital across all sources such as preferred shares, common shares, and debts. It is calculated as follows

Valuation

  • Start with enterprise cash flows derived earlier.
  • Compute the growth rate in enterprise cash flows.
  • Input: Enterprise cost of capital (aka wacc) is assumed constant for all years.
  • Make sure that the enterprise cash flows reach terminal growth before computing terminal value. Terminal value is computed at the end of Year 5 because the enterprise cash flows reach terminal growth only after that year. The formula is C5*(1+g)/(wacc-g) or C6/(wacc – g).
  • Enterprise value = PV of enterprise cash flows until Year 5 + PV of terminal value
  • Historical data: Initial ending net financial liabilities.
  • Subtract net financial liabilities.
  • Equity value = Enterprise value – Net financial liabilities

Inferring cost of equity

If one used firm’s cost of equity to derive wacc, then this step is indeed redundant. However, in many instances, we assume that the firm’s wacc is the same as its competitors, or we use a subjective estimate of wacc. In these cases, it is useful to know the cost of equity implied by wacc and leverage.

See the equation for cost of equity (re) specified earlier. re generally varies across time if leverage based on market values changes. Even if NFL/book value of equity is kept constant, as is the case in this model, the ratio of NFL to market value of equity changes over time. Thus, re varies across time. Therefore, you cannot discount distributions to shareholders at the current re to derive the current equity value.

Bond Information of NVidia Corporation

NVidia Corporation issued an International bond valued at USD 1,000M. the bond is expected to mature in the year 2021 with a coupon rate of 2.2%. The bond was sold at a price of 99.802%. The Bookrunner were Goldman sachs, Morgan Stanley and Wells Fargo. A bond issue is meant to help raise finance by the issuer. For a bond, it is redeemable after a period of time. To estimate the yield the firm may have to provide the investors while making a new issue.

To get the current market value of NVidia corporation Bond issue (US67066GAD60).

The market value of a bond is like the present value of all future cash flows. Therefore the face value is needed, the coupon rate, maturity period and market interest rate.

A bond is therefore a form of debt that an investor expects periodical interest payments that are based on a stated coupon rate and return the original principal at maturity.  Face value is $1,000M, Maturity 5 years, Coupon rate 2.2% , assumed 9%.

The following formula applied

PV( bond) =   =

To find the yield on a company’s recently issued long term bonds, given it has bonds outstanding or it can be can be found by rating the bond also. This can also be done by assessing the yield on other bonds with a similar rating and in the same industry.

The yield rd is the coupon rate that the company will have to set on a new bond.

 

Other Metrics involved in cost of capital;

Cost of preffered stock. This is the rate of investment return by holders of a company’s preferred stock. Calculation involves diving the annual dividend payment on the preferred stock by the preferred stock’s current market price.

Par value $100, Dividend yield = 10%, issue price = $116.95, Flotation cost = 5%

=9.0%

Methods of determining the Cost of equity

The existing common stock also called retained earning can be calculated using below methods.

This can be done using three known methods;

  • Capital Asset pricing method. This model describes the relationship between the expected return and the risk of a security. The CAPM shows that the return on a security is equal to risk-free return together with a risk premium.

CAPM formula and calculation,

Where Ra is the expected return on a security, Rrf is the free rate, Ba is the Beta of the security and Rm is the expected return on the market.

Risk premium is given by subtracting

  • Discounted cash flow method. When investors expect returns in form of dividends that can be done quarterly or half yearly. The discounted cash flow model for measuring the cost of retained earnings is given by

G is the growth rate of the stock

  • Own-bond- yield plus Judgmental risk premium

This is given by

 

For this case using data available for the company NVidia corporation it is easy to determine the Cost of equity using both methods.

Cash Flows Statement NVidia Corporation

Cash flow statement equation is given by;

Operating Income is got by subtracting Operating revenues from Operating expenses

NFE is obtained by subtracting financing income from financing expense

  1. Method 1.

For this to be possible, reformulated income statements and balance sheets for a firm must be done. With reformulated statements, any of Method 1 or Method 2 of calculating free cash flow can be done.

NVidia corporation: Calculation of Free Cash Flow for 2016 (in Millions)
 

Method 1:

 
Operating income           2016

Net operating assets       2016

Net operating assets       2015

 

Free cash flow                    2016

 

$61,439

$63,382

$ 16,072

 

-$1943

$18,015

Note:

We have the Cash flow statement for year 2010 given. To calculate the Free cash flow for year 2016 we take Cash from operating activities subtract the capital expenditure.

Total Operating activities $16,072M

-Capital Expenditure            $ 3,067M

-Dividend to shareholders $5,458M

Free Cash Flow                         $7,547M

 

The numbers differ. Method 1 above value is different from the value obtained under ordinary method.

  1. Method 2. Calculate for free cash flow.

For this the calculation will involve the sum of NFE for year 2016, the change in NFA and the dividend.

We take the NFA for year 2015 and 2014. The dividend is on the Statement of income.

 

NVidia Corporation: Calculation of Free Cash Flow for 2016 (in Millions)

Method 2: C – I = NFE – DNFO + d 
  Net financial expenses    2016

Net financial obligations           2016

Net financial obligations    2014

 

Net dividend                   2016

 

Free cash flow                 2016

 

$

$

$

 

()

 

 

 

$()

 

The two methods should give the same result provided income is a comprehensive income.  Free cash flow appears to be different under the two methods. The difference is occasioned by the fact that we cannot reconstruct a deferred compensation asset, an operating asset. The Free cash flow calculation is dependent on income and asset aspects which is not the issue for operations.

Method 2 offers the accurate calculation.

  • Calculate the net payout to shareholders from the cash flow statement. (Make remarks)

To achieve this. We get the free cash flow value.  The Free Cash Flow value is then multiplied by the dividend payout ratio.

  • What is the relevance of the supplemental disclosure at the bottom of the cash flow statement?

This exists so that adjustments made to the cash flow statement are known. There are three categories of this. Cash paid for interest and income taxes. The Reconciliation Schedule and Non-cash investing and Financing activities.

The return on common equity

The return on common equity
The return on common equity

The 2016 Chevrolet Camaro

Brief Overview of the Product

  • The 2016 Chevrolet Camaro is classified as a pony car.
  • The new Camaro features a lighter architecture than previous designs.
  • It has a more athletic shape that creates prominence on the road.

What the modes means to you

  • Gives you the freedom to tailor the ride quality.
  • A normal car which can transform into a sports car with only a tap of the drive mode.
  • You selects mode depending on road conditions or preferences.
  • The “sports” mode is suitable for motorsport lovers.

Why buy a Camaro?

  • Athletic appearance.
  • Great agility on roads.
  • Responsive breaking.
  • Great speed & maneuverability.

It’s always a Camaro

vWith the four drive modes available, the following are guaranteed:

  • Your comfort.
  • Freedom of choice.
  • Guaranteed happiness.

The 2016 Chevrolet Camaro Creative Development

 

  1. Creative Brief

Who’s your product?

The 2016 Chevrolet Camaro is in the class of pony cars, with a characteristic sporty image and high performance capabilities. The 2016 Chevrolet Camaro has been reengineered and redesigned to fit consumers’ tastes and preferences. The brand features a sophisticated design, lighter architecture, modern technologies, and an athletic shape that is hard to ignore on the road.

Why your product?

The 2016 Chevrolet Camaro caters to the needs of consumers in a number of ways. The lighter architecture significantly improves features such as breaking and attack on corners, which is a necessity for motorsport racing. The lighter architecture also provides the Chevrolet with nimble performance capabilities, which is a plus in motorsport racing. The pony characteristics of the 2016 Chevrolet Camaro presents the model to the consumers as a brand designed purely for motorsport racing.

Describe or develop the emotional and rational aspects of your product.

The 2016 Chevrolet Camaro has several emotional aspects. The emotional aspects of the brand include presence of rear quarter panels and a fastback profile, which gives the image of a pony car (Fleming, 2016). These features are highly regarded by motorsport lovers although in reality, they do not add to the performance of the car. The rational aspects of the product revolve around the smaller and lighter architecture, which appeals more to motorsport lovers. The tighter proportions of the brand mean that it is more responsive to breaking, can accelerate faster, and has high maneuverability around corners. The 2016 Chevrolet Camaro has shed over 390 pounds comparing to its predecessor. It churns out 455 HP, which is the most powerful of the Chevrolet Camaro brands. As such, it is capable of accelerating from 0 – 60 MPH in 4.0 seconds (General Motors, 2016).

What’s you product about?

The 2016 Chevrolet Camaro is a pony car with a tighter body and lighter framework that makes it one of the most agile racing cars in the market. The brand positioning emphasizes great performance capabilities combined with agile road handling due to its tighter proportions.

What else is about your product?

One of the concept that needs addressing in terms of the demand shifters involves consumers’ tastes and preferences. Factors such as advertising and current fashions influence consumers’ tastes and preferences. Another critical factor entails high competition. Chevrolet Camaro faces stiff competition from Ford Mustang.

Where is your product needed/demanded?

The 2016 Chevrolet Camaro does not have a specific region where there is demand for the brand. The brand has demand in both the U.S. and from overseas countries.

When is it needed/demanded?

The 2016 Chevrolet Camaro has an even demand throughout the year. This is because its demand is unaffected by seasonal factors such as climate or sporting events.

How’s it used?

The 2016 Chevrolet Camaro has an athletic appearance and thus used as a pony car (General Motors, 2016b). Majority of the brand consumers are thrilled by cars with great agility on roads and sporty characteristics such as great speed, maneuverability, and responsive breaking.

Does the average consumer have specific wants your ad should address?

The ad should address the brand’s performance capabilities such as breaking, acceleration, and horsepower. The ad should address these rational aspects. The ad should also address emotional aspects such as the brand’s design.

  1. How the benefits are presented in your new advertisement/promotion

Objective statement

The main objective of the promotion is to ensure that consumers learn about the four drive modes that the new Chevrolet Camaro offers to drivers. The drive mode selected alters the quality of the ride basing on the mode selected.

Support statement.

The Sport, Track, Snow/Ice and Touring modes enables drivers to change the quality of the ride between comfort and performance depending on the terrain or driver needs.

Support statement part two.

The 2016 Chevrolet Camaro has a drive mode selector that enables a driver to customize their driving experience. The drive mode selected alters the look, exhaust sound, and the general experience of the car to offer unique driving experiences.

Support statement part three

One of the demand shifters is consumers’ tastes and preferences. Consumers’ tastes and preferences vary depending on a number of factors such as prevailing fashion or advertisements. With regard to Chevrolet Camaro, consumers are drawn by new designs such as the four drive modes that enhance a driver’s experience. Demographic factors also influence the demand level of a product. Increase in per capita income increases the disposable income among consumers, thus they are able to demand even highly priced products such as Chevrolet Camaro. Economic factors such as consumer spending trends, inflation rates, cost of borrowing, and others affect demand for vehicles. When the economic factors are unfavorable, the demand for products such as Chevrolet Camaro reduces.

Natural factors have little impact on the demand for Camaro brand. Technological factors may affect the demand for Chevrolet Camaro. Application of modern technology is critical in attracting young buyers who are the main consumers of the vehicle brand. Technological innovations have enabled General Motors to include the four drive modes in order to enhance driver experience. The political factors may reduce the demand of the Camaro. The social/cultural factors have no impact on the Camaro brand. This is because the brand transcends across cultures. The competition is an important demand factor to consider. The actions of competitors have a direct impact on the demand of a product. Chevrolet Camaro is able to remain ahead of competition through innovations such as the four drive modes. Substitute products have little impact on the demand for Camaro brand since it is a leisure product.

Tone statement

The new 2016 Chevrolet Camaro is a masterpiece of design with a light architecture and a variety of drive modes that offers you the best driving experience you will ever have.

Brand statement

The Chevrolet Camaro brand offers consumers a sophisticated design with a lighter architecture and a customizable drive mode selector that lets one change the drive mode to suit the different terrain requirements or driver requirements.

  1. Your Advertisement/Promotion Message Strategy

Describe the overall creative approach

The overall creative approach involves emotional advertising. Emotional advertising seeks to appeal to the emotions and feelings of the consumers (Heath, 2012). Emotional advertising aims at making the consumer purchase a product based on perceive feelings concerning the product. Emotional advertising of the Camaro brand will aim at associating the 2016 Chevrolet Camaro with comfort and happiness. As a result, customers will likely associate the Camaro brand with comfort and happiness and thus purchase the product.

What do you want your advertisement/promotion to say?

The promotional message will emphasize on comfort and happiness that is derived from driving a Chevrolet Camaro with four different modes. The message will emphasize on the four modes, which include Sport, Snow/Ice, Tour and Track and the benefits associated with each of the modes. The promotional message will feature the capabilities of the 2016 Chevrolet Camaro to offer the driver a unique experience even in the face of challenging terrain such as in zero-temperature conditions.

Non-verbal

The ad will feature a lean Chevrolet Camaro with appealing colors. The ad will screen the Chevrolet Camaro driving in icy conditions while able to maintain traction. The Chevrolet Camaro’s body will partially be covered in ice, indicating the snowy conditions.

Technical

The most powerful IMC Promotional Mix component is advertising in the mass media. The mass media has wider coverage and thus a wider reach for the audience. Advertising through the mass media enables the advertiser to reach easily and in a quick way a large number of target audience. Television is visually appealing and can run the advertisements showing the different experiences drivers get when they use the various drive modes.

Internet and Social Media

IMC Mix components include the foundation, brand focus, integration tools, promotional tools, corporate culture, consumer experience, and communication tools (Burnett, 2007).  The foundation stage refers to a close examination of the product and the target market. The brand focus is the corporate identity of the brand. Integration tools involve the application of special software such as customer relationship management (CRM) software to assess the effectiveness of different integrated marketing communication tools. Promotional tools include various promotional tools such as direct selling, personal selling, and trade promotions (Smith & Schultz, 2005). Corporate culture represents the work culture associated with the organization. Consumer experience relates to the various feelings and perceptions of consumers who are using the product. Lastly, communication tools involve the means by which the company passes information to consumers.

References

Burnett, J. J. (2007). Nonprofit marketing best practices. Hoboken, NJ [u.a.: Wiley.

Fleming, C. (2016, March 18). 2016 Chevrolet Camaro turns up the heat during a drive to Death             Valley. Los Angeles Times.

General Motors (GM). (2016). 2016 Camaro. Retrieved from http://www.chevrolet.com/2016-     camaro-sports-car.html

General Motors (GM). (2016b). Our Company. Retrieved from       http://www.gm.com/company/about-gm.html

Heath, R. (2012). Seducing the subconscious: The psychology of emotional influence in    advertising. Chichester, West Sussex: Wiley.

Smith, S., & Schultz, D. E. (2005). How to sell more stuff: Promotional marketing that really      works. Chicago: Dearborn Trade Pub.

Related:

Chevrolet Camaro Market Segmentation

Barbados Global Business Cultural Analysis

Barbados Global Business Cultural Analysis

Introduction

Barbados is part of the eastern Caribbean island and one of the most developed countries situated in the Caribbean region. The country maintains an undiversified export base and production. It mainly imports the raw materials required for conversion to final output. Some of the final product is consumed locally while surplus is exported. Over the last decade, the region is experiencing an economic hardship owing to the global economic meltdown. Global business relates to the transactions conducted across borders. In line with this, the global business cultural analysis focuses on the business culture of a country and its overall impact across borders. This paper investigates the global business culture with regard to Barbados region. The research will investigate 24 scholarly sources detailing the global business cultural analysis within the region as well as outside regions.

Lombardo, G. A. (2011). Cross‐cultural challenges for a global maritime enterprise. Cross           Cultural Management: An International Journal, Vol. 18 Iss: 4, pp.485 – 498. Retrieved     from  http://dx.doi.org.ezproxy.liberty.edu/10.1108/13527601111179537

The author examines the cross-cultural issues that emerge when conducting international business and management courses. The purpose of this research is to provide students    with a hypothetical case study that will enable them to conduct their own realistic          analysis of business systems in various parts of the world. The research indicates that     cross-cultural conditions are important factors in the global business cultural analysis.          The implication of this research is that there exist significant differences between classroom exercises that students are accustomed to      and the business practices in the real world. The normal textbook readings that students are used to provide limited cross-       cultural exposure to students, a fact that becomes apparent when they begin looking for            jobs. The research provides students with practical experiences that enable them to      apply the concept or theories learned in classroom interactions. The limitations of this             study lie in the inherent differences that exist between the classroom experiences and        the real world experiences. Its hypothetical nature also makes it unable to yield concrete    and scientifically proven results.

Alleyne, P. (2016). The influence of organisational commitment and corporate ethical values on non-public accountants’ whistle-blowing intentions in Barbados. Journal of Applied    Accounting Research, Vol. 17 Iss: 2, pp.190 – 210. Retrieved from             http://www.emeraldinsight.com.ezproxy.liberty.edu/doi/full/10.1108/JAAR-12-2013-        0118

Alleyne (2016) examines the impact of strong corporate ethical values and the       organizational             commitment to the willingness of private sector accountants to act as          whistle-blowers within the Barbados region. The study finds a strong link between        corporate ethical values and organizational commitment with whistle-blowing intentions,           both within the internal and external sources. This study is important since it helps inform       the role of strong organizational cultures in changing the global business culture. There exists a strong link between the organizational culture and the global culture exhibited by             the organization in its interaction with multinational corporations. The study provides an objective view of the role played by corporate ethical values and a strong       organizational culture by obtaining data from 236 private sector accountants through use of   questionnaires. The limitation of this study lies in the fact that its findings are not           generalizable across other professions. In addition, the quantitative survey             method            applied does not allow for investigation of the feelings or perceptions of those sampled.

Rao, A., & Sedlaczek, Y. (2012). Calypso in the Caribbean: a musical metaphor for Barbados.             International Journal of Cross Cultural Management, 12(3): 315 – 327. Retrieved from             http://ccm.sagepub.com.ezproxy.liberty.edu/content/12/3/315.full.pdf+html

The duo investigates cultural diversity within the Caribbean region and its impact on        management at the international levels. The duo investigates the local culture of the       Caribbean region from a musical point of view. Barbados’s inhabitants mainly comprise        of individuals whose origins are traceable to Africa, along other inhabitants distributed     within the Caribbean   region. The research asserts that the socialization of Barbados       inclines them to follow authority. The Barbados has a high “power distance”, which is           described as the relative degree to which society members tolerate unequal power structures. The research aims at understanding basic workplace behaviors such as power        distance, gender differences, materialism, assertiveness, and the relationships between         people from a cultural lens. As the integration of Barbados into the global business        community increases, global business managers need a deeper insight of the various   cultural aspects defining the local population. The limitation of this method is that it   mainly relies on interpretation of culture through music, while neglecting other methods.

Banutu-Gomez, M., & Rohrer, W. G. (2014). The role of culture, language, and ethics in global   business. European Scientific Journal. Retrieved from             http://www.eujournal.org/index.php/esj/article/viewFile/3280/3062

The research looks at the role of ethics, culture, and language in relation to the global       business. The research notes that there is dire need for businesses to learn how to work         together to survive the harsh economic environment. Businesses must learn the culture,     language, and ethics of the countries they intend to take their investments. The researchers collected data through examination of primary sources as well as a vast   collection of secondary sources. These sources enabled the duo to obtain an in-depth             knowledge of how language, culture and ethics affect international business ventures.       The literature review for the research strongly indicated that the language, culture and ethics in a particular country significantly affect how businesses interact at a global scale.          The study brings to light the critical importance of awareness of cultural differences as a             critical success factor for global businesses. The study, however, does not provide     empirical evidence to support its stand on the impact of culture.

Howard, M., & Alleyne, P. (2004). Understanding tax reform issues in barbados*.Journal of        Eastern Caribbean Studies, 29(3), 38-64. Retrieved from      http://ezproxy.liberty.edu/login?url=http://search.proquest.com.ezproxy.liberty.edu/docvi      ew/216624376?accountid=12085

This paper investigates issues relating to tax reforms in the Barbados region. The paper    analyzes the impacts of tax reforms in small countries such as Barbados with regard to improving global business. The study finds that the tax reform policy implemented in           Barbados significantly improved the economy. Tax reforms touched on key mode of             operation whereby the country shifted to an indirect tax system through the application of       value added tax. The system of tax in place is critical in the global business environment.   The duo analyzes optimality of the tax system Vis a Vis supply side efficiency.  Supply-   side tax policies generally examine the impacts of progressive tax rates on items such as          savings or investments. The policies also look at the need to implement appropriate tax          rates that enhance economic growth rather than subdue growth. The article provides a            concise overview of how the tax system in a country influences global business in      Barbados. The study helps to inform readers of the critical role the tax system plays in    influencing global business. The article provides empirical data, which helps strengthen          the arguments.

Byron, J. (2007). STRATEGIC REPOSITIONING: FOREIGN POLICY SHIFTS IN        BARBADOS AND TRINIDAD AND TOBAGO, 1990 – 2000. Social and Economic   Studies, 56(1/2), 209-239. Retrieved from http://www.jstor.org/stable/27866501

This study analyzes the impact of changes in foreign policy in Barbados and Trinidad       region from 1990 to 2000. Liberalization of the global economy had significant impacts           to international trade in different countries. The study notes that the impacts of         globalization were strongest in small developing countries that maintained open           economies. With the advent of globalization, these countries realized the need to            restructure their foreign policy in order to fit in a more dynamic global business             environment. The paper conducts a comprehensive examination of existing literature on   the foreign policy-making process, noting that due to its close proximity with the United         States, Barbados experiences a significant influence from the U.S. in its policy          development process. Since the U.S. is a world superpower, its influence is even higher          over the Caribbean region owing to the close proximity. As such, most of Barbados’    policies reflect those of the United States. The study indicates that small countries such as         Barbados are still in a position to benefit from globalization, especially when such             countries formulate policies that protect the local industries.

Elliott, D. R. (2007). Caribbean regionalism and the expectations of increased trade: insights        from a time-series gravity model. Journal of International Trade & Economic   Development, 16(1): 117-136. Retrieved from    http://web.b.ebscohost.com.ezproxy.liberty.edu/ehost/pdfviewer/pdfviewer?sid=fa14039d            -2081-4271-8300-36feebeeec62%40sessionmgr104&vid=2&hid=115

This study uses a time-series gravity model to examine the impacts of integration in the    economies of three Caribbean countries: Jamaica, Barbados, and Trinidad. The goal of           the research is to establish whether there are any significant benefits arising from         economic integrations. Surprisingly, the study concludes that regional integration does        not necessarily promote trade flows. In fact, in some situations, economic integrations             results to a decline in trade flows between countries. The study utilizes different             variations of the time-series gravity model in order to gain a clear understanding of           natural and induced trade between countries. The study utilizes empirical analysis in    examining the impact of economic integration in the three countries. As such, the study             produces robust results that inform the analysis. The study outlines the main challenge           that countries face in the increasingly globalized world, which concerns achieving high         output in the face of intense competition. The application of gravity models is effective in      this case since the models are suitable for developing countries or those in transition.

Kolstad, I., & Villanger, E. (2008). Foreign direct investment in the Caribbean. Development       Policy Review, 26(1): 79 – 89. Retrieved from             http://onlinelibrary.wiley.com.ezproxy.liberty.edu:2048/doi/10.1111/j.1467-            7679.2008.00399.x/epdf

This study examines the attractiveness of the Caribbean region to foreign direct     investment. Foreign direct investment is significant in promoting the economic growth and development of an economy. The duo conducts an econometric analysis that           indicates that the Caribbean region receives relatively high foreign direct inflows comparing with other select regions. The study indicates that political instability has a             multidimensional impact on foreign direct investment (FDI) inflows in a region. For         instance, the study highlights the absence of government regulation as the major factor contributing towards the high inflows of FDI in the Caribbean region. This study helps to inform the Caribbean governments of the steps they can take in order to increase the flow     of foreign direct investment in the region. This study is important in this research since it           helps in analyzing the most effective measures that governments are taking to attract FDI.      The culture of a country with regard to the measures it uses to attract FDI greatly determines its economic prosperity.

Bernal-Verdugo, L. E., Furceri, D., & Guillaume, D. (2012). Labor market flexibility and             unemployment: new empirical evidence of static and dynamic effects. Comparative          Economic Studies, 54(2), 251. Retrieved from http://p2048-      ezproxy.liberty.edu.ezproxy.liberty.edu/login?url=http://go.galegroup.com.ezproxy.libert     y.edu/ps/i.do?p=AONE&sw=w&u=vic_liberty&v=2.1&it=r&id=GALE%7CA29381188            6&sid=summon&asid=d8cf4059403925e95301f7cf0b2a0557

Bernal-Verdugo, Furceri, & Guillaume (2012) examine the relationship that exists            between unemployment outcomes and labor market flexibility in different countries,           including Barbados. The study utilizes a sample of 97 countries, collecting data between       the years 1985 and 2008. Most of empirical data collected by researchers concentrates on        single indicators with regard to labor market institutions. Contrary to this, the research      examines multiple indicators related to the labor market flexibility. The broad sample collected spanning 97 countries enables the researchers to identify or single out             unobserved country-specific characteristics, which could in one way or another influence the labor market performance. Empirical data gathered was reviewed using correlation         matrix and other statistical measures. The results indicate that increased labor market   flexibility can lead to a decline in unemployment. Previous researches concur with the   above conclusion with regard to the labor market flexibility and job creation. Rigidity in    labor market institutions can hinder job creation and is often associated with increased             unemployment levels in an economy.

Lewis-Bynoe, D., Griffith, J., & Moore, W. (2002). Trade liberalization and the manufacturing    sector: the case of the small developing country. Contemporary Economic Policy, 20(3):        272-280.             http://go.galegroup.com.ezproxy.liberty.edu/ps/i.do?p=AONE&u=vic_liberty&id=GALE            |A89025388&v=2.1&it=r&sid=summon&userGroup=vic_liberty&authCount=1

This article examines the impact of trade liberalization in the Caribbean region with a       bias towards the manufacturing sector. This article compares with the study by Elliott    (2007) that investigates the effect of economic integration in the Caribbean region.      Lewis-Bynoe, Griffith, & Moore (2002) find sufficient evidence indicating that trade             liberalization may not yield any benefits to the economics involved. In particular, the three assert that trade liberalization is a catalyst for unhealthy price competition among     the industries, which may lead to collapse of the industries within the Barbados region.           The article asserts that industries should aim at improving their efficiency by   reorganizing their production processes. The study utilizes an import demand function to examine the effects of trade liberalization on the demand elasticity relating to imported             manufactured goods. The study utilizes firm-level data, meaning that the conclusions     reached support various empirical studies. This empirical research provides a firm             backing regarding the negative impacts of trade liberalization on the economies of            developing countries such as Barbados.

Starr-Glass, D. (2014). Internalizing cross-cultural sensitivity: reflective journals of migrant         students. Journal of International Education in Business, 7(1): 31-46. Retrieved from             http://www.emeraldinsight.com/doi/abs/10.1108/JIEB-07-2013-0028

This study examines the experiences of migrant students in cross-cultural education          setups. The main point reflected throughout the study is that cross-cultural students      harbor deep knowledge and experiences that they ought to share with those who have not          had opportunities to experience diverse cultural settings. The study design involved participants drawn from multicultural settings. Each of the participant received a reflective journal that they maintained throughout the semester. The participants filled out       their most defining cross-cultural experiences in the reflective journals. The journal’s       main aim was to increase the cross-cultural students’ awareness of their cultural        adaptation problems that they were facing. This is mainly through reflecting on the        various issues that confront them. The importance of this study is that it examines the    critical issue of cultural sensitivity. The study results may be applicable to cross-cultural students wishing to study in places such as Barbados. The study can also help             multinational corporations understand how cultural diversity may affect their employees.

Janelle, J. (2014). Culture, community, consciousness: the Caribbean sporting diaspora.    International Review for the Sociology of Sport, 49(6): 669-687. Retrieved from             http://irs.sagepub.com.ezproxy.liberty.edu/content/49/6/669.full.pdf+html

This article looks at the capability of sports to strengthen social relationships and kinships across borders. The article notes that the inhabitants of the Caribbean region have a bias towards recreational cricket. Recreational cricket has for a long time acted as the source of cohesion and as a symbol of the region’s unity. The findings indicate that most groups of Afro-Caribbean descent perpetuate recreational cricket in different regions as a way of cultural production. Recreational cricket thus enables these groups to maintain cross-border interpersonal networks. Cricket matches enables the players and fans to interact and to regenerate the diasporic attachments or consciousness. The article is useful since it enables readers to understand the importance of sports as a way of expressing a people’s culture. In line with this, corporations can easily integrate into the local culture by promoting sporting activities that the bulk of people take pride. The article identifies globalization as key to understanding the economic and social flows in the macro-economy.

Glazier, S. (2011). Barbados. In W. Roof & M. Juergensmeyer, Encyclopedia of global religions. Thousand Oaks, CA: Sage Publications. Retrieved from http://ezproxy.liberty.edu:2048/login?url=http://literati.credoreference.com/content/entry/sagegr/barbados/0

Glazier (2011) examines the culture and religious background of Barbadians. The study looks at Barbados while classifying the residents as per their race and origin. Barbados has a unique history since it is the only of Caribbean countries under British rule during the colonial period. In 1966, the country gained independence from British rule. The country has a high population density of about 1,570 persons per square mile. About 90 percent of the population in Barbados has an African origin. These came into this area during the days of slave trade. European Whites account for about 4 percent of the entire population. Asians and other groups such as Latin Americans account for about 6 percent of the population. Barbadians value religion and as such becomes a significant aspect of their culture. Majority of the inhabitants are Christians, and most of them Protestants. It is important to explore the religion and ethnic background of the inhabitants since these are critical aspects when discussing global business cultural analysis.

Becker, G., Philipson, T., & Soares, R. (2005). The Quantity and Quality of Life and the Evolution of World Inequality. The American Economic Review, 95(1), 277-291.           Retrieved from http://www.jstor.org/stable/4132680

The authors investigate the concept of inequality in developing regions such as Barbados. The authors analyze GDP per capita measures and help readers to understand the implications of these measures in different countries. The study goes further to analyze the non-material items that significantly determine the quality of life in different countries. The authors note that for instance, economic welfare is not only the function of material welfare, but also the quantity and quality of life of the population. The study draws data from 96 countries between 1960 and 2000. The large sample size and the longevity of the data collection period increase the accuracy of the results of this study. The large sample size makes it possible to generalize data in different regions. This study is important since welfare indicators are significant measures of the performance of the economy. Additionally, the study of global business cultural analysis touches on the welfare measures such as GDP, mortality rates, life expectancy, and others.

Denis, A. B. (2003). Globalization, women and (in)equity in the south: Constraint and resistance in Barbados. International Sociology, 18(3): 491-512. Retrieved from             http://iss.sagepub.com.ezproxy.liberty.edu/content/18/3/491.full.pdf+html

This article examines contemporary globalization and its influence to the inequities experienced by women in the Barbados region. The article first examines the impact of modern globalization to the political landscape of Barbados. The major aim of the article is to analyze how Barbadian women experience and benefit from various aspects of globalization during their daily economic activities that they engage. The article also examines the impact of different categorical groupings such as race, social class, and ethnicity interrelates with gender to determine women’s position in society. The study traces women’s role in production in the Barbados region from the early 1900s. In order to provide concrete results, the article conducts a literature analysis of previous studies focusing on the issue of women and development in the region. The research is helpful since it helps examine the role of women in economic development of the region. It is important to examine the role of women in economic development while conducting a global business cultural analysis.

Clair, M., Henry, P. B., & Hlatshwayo, S. (2013). Two tales of entrepreneurship: Barbados,         jamaica, and the 1973 oil price Shock1. Proceedings of the American Philosophical       Society, 157(1), 32-57. Retrieved from    http://ezproxy.liberty.edu/login?url=http://search.proquest.com.ezproxy.liberty.edu/docvi            ew/1459215424?accountid=12085

This study examines the role of favorable public policy in pushing for economic development of a country. The study examines the role of public policy by contrasting the economic growth of Barbados region to that of Jamaica from 1961 to 2011. The aim of this study is to identify how different policies have shaped each of the economies since the mid-1950s. The study conducts a quantitative historical analysis to examine the interplay of factors and policies that have shaped the economies of the two countries. The results indicate that Barbados region has experienced robust growth in GDP owing to favorable public policies that support entrepreneurship and trade. On the other hand, Jamaica’s GDP has largely stagnated since 1961 owing to “anti-business policies” that the government has enacted over time. It is important to analyze the role played by appropriate public policies in the development of less developed nations. This article emphasizes the important role public policy plays in assisting the development of trade and entrepreneurship in economies.

Millar, M., & Devonish, D. (2009). Attitudes, savings choices, level of knowledge and     investment preferences of employees toward pensions and retirement planning: survey            evidence from Barbados. Global Pension Perspectives, 14(4): 299- 317. Retrieved from             http://search.proquest.com.ezproxy.liberty.edu/docview/236573129?pq-origsite=summon

This study examines the attitudes of employees and their knowledge towards pension and retirement planning. The study makes a comparative analysis of employees’ attitudes and knowledge between Barbados region and the United Kingdom. The main purpose of the article is to investigate the financial burden that most countries experience especially due to the high pressure from pension funds that take a huge chunk of their national budgets. Many countries have realized the high financial costs associated with funding an ever-increasing pension fund due to the rising number of individuals reaching the retirement age. The study bridges the information gap that exists with regard to pension literature in the Barbados region. Employers in the Barbados region are supposed to provide employees with a default pension plan outlined by the state government. The study utilizes data from 134 employees drawn from both the private and public sectors. The sample size was not large enough hence it could may be difficult to generalize the research findings.

Craigwell, R., & Jackman, M. (2014). Does government employment crowd out private sector     employment in SIDS? The case of Barbados. The Journal of Developing Areas, 48(4): 1 –          12. Retrieved from http://muse.jhu.edu.ezproxy.liberty.edu/article/544781

The duo investigates the impacts of government involvement in the labor sector with regard to Barbados region. The main aim of the article is to investigate whether government employment of the population produces crowding out effects to the private sector in terms of employment. The article uses Markov-switching error correction model to measure the influence caused by government employment to Barbados’ labor market. The findings indicate that government involvement in the employment sector causes marginal crowding out effect to private firms in the labor market. The study utilizes data collected from 1976 to 2009 on an annual basis. Additional data used for control variables drawn from reputable sources as United Nations National Accounts and World Bank World Development Indicators. The net impact of government involvement towards unemployment is however, negative. It is important to evaluate the impact of public employment programs to the private sector. This enables multinational corporations to be better placed in terms of decision-making and choice of investments.

Addington, C. (2004). Sectoral labor employment in a Caribbean economy: the case of     Barbados. The Review of Black Political Economy. Retrieved from             http://search.proquest.com.ezproxy.liberty.edu/docview/1302851430/fulltextPDF/8563D            1A8A95C4A9FPQ/1?accountid=12085

Addington (2004) explores employment in the Barbados region through a multi-sectorial analysis. The article articulates the findings of Craigwell & Jackman (2014) concerning government involvement in labor employment. The article indicates that government involvement in the labor sector has significant impacts to labor availability especially in the sugar sector. The article looks at the growth of the various sectors of the economy by examining the output levels, growth of real wages and the employment trends by sector. The findings show that tourism is the most robust sector of the economy with real wages of 22.2 percent, output at 96 percent and employment at 37.5 percent. The distribution sector comes second with a 21.4 percent output level and 37.5 percent employment level. The agricultural sector records the lowest output and employment levels. This study can help inform multinational corporations on the profitable sectors for investment. The study is important since it helps analyze how different sectors of the economy are performing.

Suzanne, B. (2008). Policing the transnational: cultural policy and the “Traveling Cultures” of     the Anglophone Caribbean. A Journal of the Caribbean and its Diaspora, 11(3): 70 – 99.       Retrieved from http://search.proquest.com.ezproxy.liberty.edu/docview/200368297?pq-     origsite=summon

This study looks at the complexities emerging from the presence of colonialism and slavery in the Caribbean region. The study notes that since the region received independence from colonial rule, a number of cultural policies have been formulated in an effort to resolve the complexities resulting from colonialism and slavery. Issues to do with culture feature eminently in the Caribbean region development agenda. The major aim of this study is to examine the negative impacts resulting from slavery and colonialism, and to evaluate the contemporary cultural developments that afflict the region. The research notes that inadequate financial resources are a major hindrance towards implementing cultural policies in the entire region. This study offers readers a unique insight into the role of cultural policies during the colonial period as well as the post-independent Caribbean. The study is useful in this research since it shows the role of cultural policies in fostering unity and development of a region.

Bernard, A., & Fernandez, A. D. (2012). Yoruba proverbs as cultural metaphor for understanding             management in the Caribbean. International Journal of Cross Cultural Management,        12(3): 329 – 338. Retrieved from    http://ccm.sagepub.com.ezproxy.liberty.edu/content/12/3/329.full.pdf+html

This study examines how cross-cultural awareness and understanding is built by using cultural metaphors. The globalized world requires that businesses develop a multi-cultural expertise in order to enhance the social, economic and political affairs. The aim of this study is to develop a conceptual framework that shows how managers can use cultural metaphor to develop a cultural understanding in the workplace. The study is similar to Rao & Sedlaczek (2012) study, which seeks to gain a cultural understanding through music. Music and metaphorical aspects forms a close connection as applied in societies. Music contains metaphors that are unique to a particular region or group of people. The study utilizes a robust review of literature relating to cultural metaphors in the region, improving the reliability of findings. This study is helpful since it provides an alternative way in which global business managers can gain an understanding of the Barbadian culture and way of life.

Cashman, A., Cumberbatch, J., & Moore, W. (2012). The effects of climate change on tourism in            small states: evidence from the Barbados case. Tourism Review, 67(3): 17 – 29. Retrieved          from             http://www.emeraldinsight.com.ezproxy.liberty.edu/doi/full/10.1108/1660537121125980  3

The authors examine the nature of Barbados’ greatest revenue earner in the phase of climate change. The major argument of the paper dwells on the fact that with the unpredictability of the global weather patterns, tourism may no longer be sustainable within the Caribbean region due to the threats posed by climate change. The paper conducts a thorough investigation of the current effects of climate change to Barbados and offers some adaptive measures or solutions that the state can take. The study examines various topics related to climate change such as rainfall patterns, biodiversity loss, sea levels and temperatures of the sea, general temperature, and erosion. The study conducts a review of past scientific literature detailing various aspects of climate change in the region. The application of an empirical approach helps in establishing the effect of climate change on Barbados. This makes the study findings reliable and unbiased. The findings of the study can be useful in examining the effects of climate change on different sectors of the economy such as tourism and agriculture.

Lituchy, T. R., Ford, D., & Punnett, B. J. (2013). Leadership in uganda, barbados, canada and the             USA: Exploratory perspectives. African Journal of Economic and Management     Studies, 4(2), 201-222. Retrieved from    http://ezproxy.liberty.edu/login?url=http://search.proquest.com.ezproxy.liberty.edu/docvi      ew/1370357274?accountid=12085

The authors investigate the concept of leadership in a number of countries including the United States, Uganda, Canada, and Barbados. The study seeks to explore two issues, which include the similarities and differences in the culture of the countries and the nature of leadership in the aforementioned countries. The study utilized a Delphi research questionnaire in each of the countries to investigate the various aspects of culture and leadership. In each of the four countries, a minimum of seven individuals or experts participated in the study. The study also utilizes a vast literature analysis drawn to explore leadership and culture issues in the four countries. The use of empirical analysis and review of literature improves the reliability of the study. The study is applicable in the research project since it helps assess the leadership styles and cultures in different countries including Barbados. Global business cultural analysis closely ties with leadership and the culture of a country.

Chan, A. W., & Cheung, H. Y. (2012). Cultural dimensions, ethical sensitivity, and corporate governance. Journal of Business Ethics, 110(1), 45-59. Retrieved from http://link.springer.com.ezproxy.liberty.edu:2048/article/10.1007%2Fs10551-011-1146-9

This study investigates the concept of sound corporate governance practices in organizations across different countries. The study utilizes ethical sensitivity to investigate the difference in corporate governance among various countries. The importance of this study to the research project is that it helps in identifying the cultural influences on the ethical sensitivity of individuals especially with regard to organizations. The study utilizes an empirical approach by obtaining data from a variety of reliable datasets. The findings of the study indicate that the owners of a company have a strong influence in the nature of corporate governance in place. The study also highlights the close connection between cultural dimensions and the corporate governance practices in an organization. This is important in the global business cultural analysis since it suggests that the cultural background of the top management can significantly affect corporate governance practices. The article is therefore significant in the global business cultural analysis.

Chevrolet Camaro  Consumer Behavior

Chevrolet Camaro Consumer Behavior

Consumer behavior is critical in determining how consumers choose products while making a purchase decision. Consumer behavior reflects the motivations and the aspirations that drive consumers towards making the purchase decision. Four significant factors influence consumer behavior. These factors include the cultural factors such as trends and social classes, social factors such as reference groups and family, personal factors such as age and lifestyle, and lastly psychological factors such as individual perceptions. The consumer’s purchase decision is influenced by a combination of the aforementioned factors and other characteristics as well. This paper examines mainly the consumer behavior with regard to Chevrolet Camaro brand, and looks at the competitive insights as well as the bid idea.

The cultural factors influencing consumer behavior

Factors involving the cultural environment of the consumers greatly affect their purchase decision. The cultural environment greatly influences the values, preferences, and the common behaviors of the consumers. Cultural factors present in various markets particularly influence purchase of various brands around the world. The subcultures present in every society affect consumer behavior. Subcultures refer to groups of individuals united by similar values or that share the same experiences. Various subcultures that exist in every society include religions, age groups, ethnic groups, nationalities, and others. Chevrolet Camaro appeals more to the younger generation that is inclined to purchase pony cars with great speed and performance. According to Sintumuang (2016), the new Chevrolet Camaro ZL1 has an output of 640 HP, which is almost equivalent to Chevrolet’s sports car models.

Social classes also fall under the cultural factors influencing consumer behavior. There are three categories of social classes, which include the lower class, middle class, and the upper class. Individuals in each of the classes share similar consumption patterns and behaviors. The classes have different purchasing power and purchasing behavior, which ascribes them to their particular classes. Chevrolet Camaro appeals to the middle and the upper class groups. Priced from $25,000, the model is out of reach to those in the lower class. The lower class refers those who earn below $25,000 annually. The cultural trends in place also influence consumer behavior. Social pressure amplifies the cultural trends or the “Bandwagon effect”. Chevrolet Camaro is one of the car models gracing the 2016 New York Auto Show. According to Geier (2016), it is the Motor Trend Car of the Year for 2016. As such, the model is among the trend-setting car models that are in the market. Most consumers are likely to make a purchase of the Chevrolet Camaro brand due to the social pressure or the “bandwagon effect” to purchase what is currently trendy in the market.

Social factors

Social factors significantly affect consumer behavior. The social factors affecting consumer behavior in relation to purchasing the Chevrolet Camaro model include status, social roles, family, and reference groups. Reference groups refer to those groups that particular individuals associate and identify with. Individuals make comparisons about their lifestyle, behaviors or purchasing habits with the reference groups they identify with. Chevrolet Camaro is a luxury sports car that every motorsport-racing fan longs to drive (Chevrolet Camaro, 2016). The latest Chevrolet Camaro model aims to offer motorsports lovers a nimble performance and better driving experience at high speeds. As such, motorsports lovers are more inclined to purchase the Chevrolet Camaro model due to its athletic characteristics. The 2017 Camaro will also feature various sporty characteristics meant to entice motorsport lovers. Since it is a luxury car, the elite class of motorsport fans will mostly purchase Chevrolet Camaro. The aspirational group in this case is the elite class of motorsports fans such as pro driver Roger Penske, who drives a Chevrolet Camaro SS model for promotion purposes (Elmer, 2016).

Related: Chevrolet Camaro Situational Analysis

The social role and status also influence consumer behavior. Social role and status refer to the position an individual holds with respect to his line of work, club membership, group of friends, or even family. The social role and status influence consumer purchase behavior with reference to the Chevrolet Camaro model. The social role of an individual relates to the activities that an individual is entitled as per his or her profession. If for instance, one is a motorsports fan, it is likely that he/she will purchase a high performance car such as Chevrolet Camaro. The status of an individual also determines his or her purchasing behavior. For instance, CEOs and other higher-ranking individuals are likely to purchase Chevrolet Camaro since it is a luxury car. Chevrolet Camaro is high on style and thus attractive to individuals with high status in the society.

Personal factors

Various personal factors such as age, lifestyle, personality, and purchasing power affect consumer behavior. Age is a great factor in determining consumer behavior. The interests and needs of individuals change or evolve with time. As such, a particular product such as a car may be of much interest to a particular age segment. Chevrolet Camaro is a pony car designed for motorsport lovers and enthusiasts. According to young (2016), younger consumers are less interested in engine size but more keen on the horsepower and fuel consumption of a car. The 2016 Chevrolet Camaro features a modern interior designed to attract primarily young buyers. The car’s interior is sleek and designed to look the modern part. This is all in an effort to attract the “tech-conscious shoppers” (Young, 2016). The 2016 Chevrolet Camaro is donned with an attractive color display, touch screens, ambient lighting configurations, and other gadgets that define the younger tech savvy drivers.

The purchasing power significantly influences consumer behavior with regard to Chevrolet Camaro. Purchasing power relates to the affordability of the brand. Chevrolet Camaro brand ranges at $25,000, thus only those who can afford will be able to make a purchase. The lifestyle of an individual relates to the interests, activities or values that one holds. The lifestyle of individuals influences their purchase behavior. Personality also plays a great role in influencing consumer behavior. Personality relates to the character traits on individuals. Consumers who have an outgoing personality are likely to purchase pony cars such as Chevrolet Camaro compared with those with conservative personalities.

Psychological factors

The consumer behavior of Chevrolet Camaro’s buyers is also driven by various psychological factors such as motivation, perception, learning, beliefs and attitudes, and among others. Motivation is the driving force towards making a purchase or developing a purchase behavior. Motivations influences consumer behavior at the subconscious levels. In order for brands to encourage a purchase behavior among the consumers, they ought to create a need that acts in the mind of the consumers. The consumers act in turn to satisfy the need. The 2016 Chevrolet Camaro brand has more torque and horsepower than its closest competitor does, the 2015 Ford Mustang (Young, 2016). General Motors has successfully created a “need” in the minds of motorsports lovers to purchase a car that is not only lighter, but has more horsepower and torque.

Motivation closely ties with perception. Perception refers to the way individuals interpret information they receive. The perception process involves three distinct mechanisms that include selective attention, selective distortion, and selective retention. Selective attention refers to the process whereby individuals focus on a few details about a product. Likewise, Chevrolet Camaro consumers focus on a few details that General Motors advertises regarding the brand. General Motors focuses on the pony characteristics of the brand while neglecting other features such as fuel consumption. For instance, GM’s website describes the brand as the “most dependable sporty car”.

Competitive Insights derived from the Consumer Behavior Patterns

Application of modern technology: One of General Motor’s competitive insights relates to the application of modern equipment and gadgets, which makes the Chevrolet Camaro brand attractive to the younger generation. The 2016 Chevrolet Camaro’s design has modern equipment that entice the younger generation. The 2016 Chevrolet Camaro has an attractive color display, touch screens, ambient lighting configurations, and other gadgets that define the younger tech savvy drivers (Young, 2016). The brand employs energy saving technologies such as Direct Injection, automatic Active Fuel Management, and Valve Timing, all which enhance its fuel efficiency. Other technologies that make the brand impressive include the Apple CarPlay that enable synchronization with iPhone, voice-activated controls, wireless phone charging, Head-Up Display, power seats with Memory Package, and others.

Modern design: The 2016 Chevrolet Camaro is built on a smaller and lighter architecture than the previous brands. The modern design gives the Camaro an “athletic” shape. The modern Chevrolet Camaro has lost over 390 pounds compared to its predecessors. This gives the car better performance in terms of braking, maneuvering corners, and a nimble performance. The brand has body features such as rear quarter panels and a fastback profile that enables it to standout from other brands. Its presence is therefore hard to ignore. The modern design appeals to the personal factors such as age and lifestyle. It also appeals to social factors such as the social role. The modern design attracts the younger generation more compared to those above the age of 50.

Competitive pricing: Chevrolet Camaro’s pricing is competitive in nature in order to attract a particular class of consumers. The 2016 Chevrolet Camaro ranges at $26,695, which is relatively expensive than its closest competitor in the sports market, the Ford Mustang, which goes for $25,045. This price means that it is in the luxury group of cars, available to the middle class and the upper class consumers.

The Concept of “big idea”.

The concept of “big idea” in advertising refers to advertising methods that provide a vivid connection with the target audience of consumers of a product, and which are able to create and sustain a competitive advantage for a product. When firms use the concept of bid idea in advertising, they primarily aim at communicating the brand to consumers. The firms often create a strong message about a product, which they push to the consumers by appealing to their needs. The “bid idea” is thus what the firm tries to communicate to the consumers concerning a particular brand. A “big idea” should be able to transform beliefs, attitudes, or the behaviors of consumers regarding a particular product. The firm championing the “big idea” should own it wholly.

“Big idea” about Chevrolet Camaro.

2016 Chevrolet Camaro: Pony appearance

(Brauer, 2016).

The Chevrolet Camaro has four driver modes that the driver can use depending on the need. The driver modes include: Sport, Track, Snow/Ice, or Touring. The vehicle is fitted with an independent four-wheel suspension system that alters the quality of the ride depending on the mode selected. The quality of the ride changes between comfort and performance depending on the mode selected. This gives the car multiple functionality; the ability to act like a normal car offering quality ride, and the ability to shift to a sports car with emphasis on performance.

References

Brauer, K. (2016, Nov. 16). 2016 Camaro: Chevrolet breaks the rules on how to launch a new      performance car. Forbes.

Elmer, S. (2016, Apr. 20). Chevy Camaro SS to pace the 100th Indy 500. Autoguide. Retrieved     from http://www.autoguide.com/auto-news/2016/04/chevy-camaro-ss-to-pace-the-100th-           indy-500.html

Geier, B. (2016, Nov. 17). This the Motor Trend’s Car of the Year. FORTUNE.

Chevrolet Camaro. (2016). The 2017 Camaro. Retrieved from         http://www.chevrolet.com/camaro-sports-car.html#

Sintumuang, K. (2016, March 25). 10 Standout cars at the 2016 New York Auto Show. The Wall             Street Journal.

Young, A. (2016, Sep. 23). 2016 Chevrolet Camaro: GM says the sixth-generation Camaro has    been completely overhauled, with more muscle than the Ford Mustang. International    Business Times. Retrieved from http://www.ibtimes.com/2016-chevrolet-camaro-gm-   says-sixth-generation-camaro-has-been-completely-overhauled-1925759

Related:

Chevrolet Camaro Market Segmentation

CIVIL LAW

Question 1

After going through much in my childhood where we were evicted from our ancestral land just because we were poor, I become interested in civil war thinking that by studying and learning more about the law I would help bring justice to the poor and the society in general. The primary purpose of civil law in any state is to prevent undesirable behavior and punish who commit the act deemed to be undesirable by the society (Lin, 2016). As a result, I felt that civil law was perfect to give me the knowledge and skills I need to defend the poor who are the majority in the society.

Question 2

Civil law is that part of the law of a country that is concerned with the private relations and daily interactions between members of the society and does not cover criminal, military or religious affairs.  Moreover, civil war is a body of law of a state aiming to regulate ordinary people private matters, and it is widely influenced in various ways by Roman law especially as contained in the Corpus Juris Civilis (Grembi, 2013).  The Civil law differs from other laws of the country such as criminal law through the type of action taken against the defendant and the type of remedy sought.

Question 3

According to Tsai (2007), there have been changes in the civil law codes in the recent years in the areas of granting new rights, through the provision of solutions to old problems, there is the provision of clarification of old problems and certain objected and omitted from the codes. Moreover, the application of the law may result in various effects on the citizens and members of the society. According to the author, the application of Article 4(laws shall have no retroactive effect unless the contrary is provided) can have effects such as lex de future judex de preterito which means that the civil law provides for the future, the judge for the past (Tsai, 2007). Different articles may have different impacts when applied, but they are meant to maintain law and order as well as the morality of the society and to ensure that people live in harmony.

On the other hand, Solove (2014) civil law is the dominant law in most European countries. The author goes further to state that the Roman citizens to whom the law was introduced first were privileged to enjoy its provisions.  It is believed that most countries that have adopted this law receive their legal systems from the Roman law. Moreover, the author states that civil law is the main source of the law is legislation and large areas are codified in a systematic manner and these codes contain very distinctive features of the roman legal systems. The nature of the codes used in this law calls for a liberal interpretation so that it may be in a position to serve as the basis of the decision in a new situation, events, and circumstances that may arise in the society (Solove, 2014). One of the paramount and significant characteristic about legislation of this law in the modern civil law is the importance associated with the preparatory works and drafters’ comments as well as the parliamentary discussion in various states around the globe.

Question 4 (A)

From the cited articles, it easy to show the correlation between the articles and the explanation provided regarding civil law. Civil law is one of the oldest laws in the world today as it dates back to the ages of Roman Empire and over the years, the codes of the law have constantly been changed to suit the needs and desires of specific countries (Fernandes, 2015). Due to the differences in the legal systems adopted by various countries, states may have different provisions of the civil war but still the basic purpose of the law is upheld, and it helps to punish the wrong doers and law breakers in the society.  Moreover, the article shows that there is a close and positive relationship between the Roman legal system and the civil law adopted by various countries and thus in case of any confusion, the primary and initial codes of the Roman law can be consulted to give the way forward.

Question 4 (B)

The cited work shows to the extent and effect of the implementation and execution of the civil war that may be applied in other fields such as academic curiosity, application to a current issue related to employment, or any other professional rationale to bring justice and prevent the occurrence of misunderstanding. Civil law is widely used in the society as it relates to the daily interaction of the members of the society as they go about their duties both in their work environments and at home (Strong, 2015).  Thus, proper execution of the law at all levels of the society without favoritism will bring justice and harmony to the members of the society irrespective of their backgrounds. Moreover, the legislature has the sole duty of refining and amending the law to suit the needs of the society.

References

Fernandes, E. C. (2015). Challenges in Applying IFRS in a Civil Law Tradition: The Example     of Brazil. . Standardization of Financial Reporting and Accounting in Latin     American Countries, , 126.

Grembi, V. &. (2013). Delays in medical malpractice litigation in civil law jurisdictions:              some evidence from the Italian Court of Cassation. Health Economics, Policy and                                  Law, 8(04), , 423-452.

Lin, X. (2016). Regulation of Domestic Forestry Carbon Sequestration Trading by the      Chinese Civil Law. . The Asian Business Lawyer, 17(단일호) , 55-73.

Solove, D. J. (2014). The FTC and the new common law of privacy. Columbia Law          Review, , 583-676.

Strong, S. I. (2015). Reasoned Awards in International Commercial Arbitration: Embracing         and Exceeding the Common Law-Civil Law Dichotomy. . Mich. J. Int’l L., 37, , 1.

Tsai, G. Y. (2007). Interactions of Plural Regulatory Forces within the Workplace: Two               Case Studies of Labour Retirement Pay. NTU L. Rev., 2, , 51.

Chevrolet Camaro Market Segmentation

Chevrolet Camaro Market Segmentation

Every company and organization are out there to increase their profits as well as reducing the cost of operations for it to increase value for its shareholders. However, to increase their profits, they need to increase their sales by gaining more customers base and market share. The only way to achieve this, it is through proper and appropriate marketing strategies.  Marketing is a form of communication between the business and its target and existing customers with the goal of selling the organization products and services. The marketers have to communicate the value of the organization’s product or service to the customers. However, in today’s scenario, the ever changing needs and wants among the customers leads to a paradigm shift in marketing. This is due to the changing attitude and behavior of the customers and globalization.  On the other hand, one of the key factors in marketing is market segmentation which is a process of dividing the product and service market up to different customer segments. Market segmentation is very important to any company that has the willingness to penetrate the market. Examples of the basis that are used for segmentation include age, level of income, geographical position, and gender (Wedel, 2012 pg18). This paper seeks to describe and explain market segmentation of the Chevrolet Camaro.

Part 1

Chevrolet is one of the world’s best-renowned motor companies that sell its products all over the globe. However, the company has a unique marketing strategy that makes it undisputed champion in the motor and truck market ahead of other giant companies such as the general motor. In addition, the giant motor company has successfully segmented its motor and truck on the basis of geographical position, demographic basically based on gender and age and psychographic. Through segmentation, the company has been able to match the customer’s needs better by producing exactly what a specific market segment needs and desires.  Moreover, the company has also increased its competitiveness through focusing on a specific market segment rather than focusing on the entire market as well as expanding its markets. One of the fundamental principles that Chevrolet Camaro has effectively utilized in market segmentation is to maximize the similarities within each market segment and to maximize the differences in the products and services they offer between two different market segments (Wilkinson, 2013 pg 45).  The pie chart below shows the market segmentation implemented by the company to win over customers.

From the pie chart above, it is easy to detect that demographic segmentation carries and occupies the large and bigger market size than the others considering that the population of the globe is close to 7.4 billion. In addition, the company gives priority to market segment based on the geography and the size of the globe which is close to 510 million km2, and it has to cover almost every corner of the world. Finally, the company has also segmented its market on the basis of psychographics which is a bit lower than both demographics and geographic.

Demographic market segment

In recent years, Chevrolet Camaro has become popular, and every individual ranging from organizations and households since the company is one of the most liked Sports Car Company in the United States.  Demographics is a process of studying a population based on factors such as age, race, and sex. On realization that customers of different ages and sex have different tastes and preferences, the giant company decided to segment its market on the basis of sex and age. In the universe today, the highest composition of the population is made up of youths and thus, this presents an opportunity. Chevrolet Camaro has manufactured a car the right model of a car that suits the youths because of its speed, has an air conditioner and a cool music system. Most of the youths between ages of 18 – 30 love Chevrolet Cruze as it contains all the features and characteristics that the youths want. In addition, the company has gone on to produce other models that are suitable for older people between the age of 36 – 60, and the business-minded people which are fuel efficient and perfect for the family and low earners like Chevrolet Spark and beat (Füller, 2008 p 120). Moreover, the company has produced unisex motor models that can be driven and accepted by both males and females despite most of the vehicles suiting the males. In Chevrolet Sail, the company has produced a unisex car model for all interested parties. Through this segmentation, the company ensures that people of all ages and genders are covered and have something to be proud of.

Geographic market segment

Geographic is another feature the company has utilized to divide its market.  Geographic is concerned with the geographical location and the characteristics associated with each region. Considering that the earth is so big to cover at once, the company has divided the regions based, income level and the living standards.  Other continents are far much developed than others, and thus, the developed regions can afford to buy high-quality motors that consume fuel at a very high rate. Moreover, the living standards and income level is another base that has been used considering that high-income earners have more than enough to spend on their basic needs and have extra to spend on luxury motors. Thus, the developed continents and regions recording the highest number of high-income earners will get expensive vehicles than regions with low-income earners. This difference in the quality, size and prices of the motors is to ensure that everyone is covered ranging from high-income earners to low-income earners. Basically, the company concentrates on big cities where the population is high and has high-income earning individuals who can afford the luxury of owning vehicles.

Psychographics market segment

There are those customers who always like to have a product or a service that is largely based on their lifestyles. To these customers, the company introduced series of fancy motors for rich individuals who fancy stylish lifestyle.  Psychographics involves the study and classification of the market on the basis of attitudes, aspirations, and lifestyle (Menzly, 2010 p 1560). To apply this technique, the company had to collect data on the customers before embarking on the production process. For example, the company discovered that the youths and the rich always desire to have flashy cars that make them feel special among their peers. Moreover, to satisfy this market segment, the company introduced motors that were categorized on the basis of classes ranging from the upper class, middle class to lower class. The upper-class motor is sold at a high price to satisfy the egos of the rich in the motor market.

Part 2

Each market segment contains different market futures and characteristics depending on the segments itself. However, this does not mean that two market segments may not have closely related characteristics. Below is some of the market characteristics associated with above-discussed market segments:

Characteristics of demographic market segment

  1. Focuses on specific gender – it is widely known that the population is made of two genders, the male and the female who have very different needs and desires thus, the company needs to focus purely on the tastes of men separately and the tastes of the ladies separately. However, in recent days, there is an emerging trend where women are developing a taste for male big cars which were associated with male and thus, the company needs to produce unisex motors that can be used by all genders.
  2. Focuses on the age – people of different age have different tastes and preferences. The youths between the ages of 18 – 30 are known to fancy big and expensive motors making them a perfect target market (Dolnicar, 2007 p 129).
  3. Family size – Moreover, this market is also divided on the size of the family considering that there are those individuals who like traveling a lot and on the other hand there is that market of family men who have to go with their families to different places.

Characteristics of geographic market segment

  1. Focuses on a city or state – a geographical segmentation primarily focuses on cities and states that have same characteristics or are located in the same region to reduce the cost of transportation of the final product to the target customers. Usually, cities are grouped on the basis on the size of the population to ensure that the company gets every single consumer.
  2. Focuses on the countries in the same region – for the geographical marketing to be effective, the company focuses on the countries in the same region and group them together to have a common outlet or a distribution line. Usually, countries that have the same characteristics regarding area and population may have a similar marketing strategy.

Characteristics of psychographics market segment

  1. Focuses on the income level of the population- this market segment is usually created to satisfy the needs and desires of that section of the population that have extra cash to spend on fancy motors and are in a position to purchase expensive gadgets to pimp their cars.
  2. Focuses on the lifestyle – people have different lifestyle depending on the kind of life they are leading. This segment groups these individuals in the same category and produces products that are in line with their lifestyles and class (Loveridge, 2012 p. 69).

A good marketer should always be aware and conversant with some of the factors that may cause a shift in the demand for a product which are widely referred to as demand drivers. In most cases, these drivers are divided into two negative and positive demands drivers or shifters. Below are some of the positive demand shifters that can increase the demand for the Chevrolet Camaro.

  1. The number of customers – a change of population let us say an increase in the total number of population in a country and the globe, in general, is likely to raise the total demand of the Chevrolet Camaro motor vehicles prompting the company to embark on a massive production of the vehicle.
  2. Changes in income – the level of income of individuals keep fluctuating from time to time and an increase in the level of income of an individual means that he or she will have enough money to spend on basic needs and save enough to spend on fancy and expensive motor cars. Thus, increasing the demand for the motor vehicles in the globe.

Part 3

However, despite all the efforts put by the company, there is still a market that is not tapped out there that needs to be tapped to increase the market share. Despite desiring to tap new markets, there is still a chance of getting and segmenting the Chevrolet Camaro market further into a behavioral segment. Behavioral segmentation involves dividing the market into groups based on their knowledge, attitudes, uses and responses to the product. The company should try to tap the first time users who come to the company without any knowledge of the products provided, and the company has to advise the users on the best vehicle to go for. Moreover, the company should consider consumer population based on the relationships to the company products who are widely regarded as the loyal. This segment of the market comprises of existing customers who are loyal customers of the company who may want an upgrade of a change of the model of the motor they are using right now (Füller, 2008 p. 122).  After conducting research to determine what the customer feel about our products, it emerged that most customers wanted the company to take the company to the next level by producing motor car accessories and spare parts that are related to our product.

Through the production of motor related accessories associated with Chevrolet Camaro such as engines, seat covers, side mirrors and brake systems, the company can tap this new market as well as attracting new customers who might be interested in buying car parts. By introducing these products and tapping this new market, the company stands a better chance of increasing its competitiveness as well as increasing productivity and thus profits for the company.

References

Dolnicar, S. (2007). 8 Market Segmentation in Tourism. Tourism Management: Analysis, Behaviour, and Strategy, , 129.

Füller, J. &. (2008). Customer delight and market segmentation: An application of the three-factor theory of customer satisfaction on life style groups. . Tourism management, 29(1), , 116-126.

Loveridge, R. &. (2012). Theories of labour market segmentation: a critique. Springer Science & Business Media.

Menzly, L. &. (2010). Market Segmentation and Cross‐predictability of Returns. . The Journal of Finance, 65(4), , 1555-1580.

Wedel, M. &. (2012). Market segmentation: Conceptual and methodological foundations (Vol. 8). Springer Science & Business Media.

Wilkinson, F. (. (2013). The dynamics of labour market segmentation. . Elsevier.

Chevrolet Camaro Advertising

Chevrolet Camaro Advertising

Chevrolet Camaro features a diverse class of automobiles manufacture by Chevrolet. The Chevrolet Camaro is in the class of pony cars, which includes cars with sporty image and high performance capabilities. The first model of Chevrolet Camaro was launched in 1966. Over the years, a number of new models have been released in the market, the latest being the sixth generation Camaro. The launch of the sixth generation Chevrolet Camaro occurred in 2015. Another notable model includes the fifth generation Chevrolet Camaro, which went on sale in 2007. The Chevrolet Camaro model has largely been successful partly due to their high performance and promotion activities conducted by the company. This paper examines how the company utilizes elements of the promotional mix to market the Camaro class of cars.

Advertising

Advertising involves use of paid form of public medium to pass promotional messages relating to a product. In 2014, Chevrolet designed a commercial that was ran on TV to increase sales of the Chevrolet Camaro series. The 2014 commercial targeted at creating awareness to the public about the performance of the Chevrolet Camaro series, with communication messages informing consumers of its ability to “Stick to the road”. The commercial also passes promotional messages relating to the car’s precision when on the road. With the launch of the sixth generation, the company designed another commercial that was run on major TV stations with the promotional message “make it yours.” The new commercial features the 2016 Chevrolet Camaro with flat tires, LED accents, discharge headlights, and rear spoiler. The advertisement aims at enticing consumers to make purchases of the new product, without detailing much about the performance details. As such, the advert is primarily concerned with making visual appeals rather than providing important information about the product.

Direct marketing

Direct marketing
Direct marketing

Over the years, Chevrolet has conducted a number of direct marketing campaigns with the aim of generating responses and/or transactions. Chevrolet interacts directly with consumers through an online platform or website (Chevrolet, 2016). The platform enables the company to respond direct to consumers about any queries they raise. The company maintains a team of dedicated customer service representatives who are able to interact with consumers directly through the online platform. Customers are able to make online purchases of Chevrolet Camaro and have the car delivered to the place of their choice. This is part of an effort by the company to drive sales through online selling, instead of customers having to go to dealerships. Apart from the online platform, Chevrolet also maintains a customer database with emails and telephone numbers. The company utilizes its email directory to contact customers, often providing details about new products and availability of spare parts to old customers. Chevrolet is able to obtain direct mailing lists for its customers from a company such as Hedges & Company that stores mailing lists from all vehicle manufacturers.

Interactive/Internet Marketing

Over the years, Chevrolet has established internet marketing campaigns that involve sale of products as well as providing a platform for interacting with customers. Internet marketing enables the company to directly interact with customers and obtain feedback. The company maintains a dedicated web platform that enables its customers to chat, call, email, and request information. Customers receive feedback almost instantly depending on the channel of communication they choose from the web platform. Calls and chats enable customers to communicate directly with representatives and obtains instant feedback. According to Wolfington (2006), Chevrolet has used internet-marketing campaigns to sell additional 85 units per month for over five years. The common strategy used by the company involves e-mail marketing whereby the company conducts buzz mail campaigns. Buzz mail campaigns target customers who are already in the company’s database. With application of customer relations management tools, the company is able to quickly sort multi-media email messages and send them with ease.

Sales Promotion

Chevrolet conducts sales promotions in two categories: the consumer-oriented category and trade-oriented category.  In the consumer-oriented category, Chevrolet has launched a number of promotional campaigns aimed at increasing sales of the 2016 series. One of its promotional campaigns launched in 2016 promises customers a 0% annual percentage rate for up to 72 months for specific models of its cars (GM Authority Staff, 2016). The offer targets qualified buyers and applies to a range of cars such as 2016 Cruze, 2016 Colorado, 2016 Chevrolet Silverado, 2016 Camaro, and among other models. Trade-oriented promotions target the dealer network. The aim of trade-oriented promotions is to encourage the dealers to sell more of a product. Trade-oriented promotion is a form of push strategy. Chevrolet encourages volume sales of the Camaro model by providing cash payments to dealers who reach specified targets in sales.

Fig 2: Chevrolet Camaro: “Tested and Perfected”

Chevrolet Camaro: “Tested and Perfected
Chevrolet Camaro: “Tested and Perfected

Publicity

The company has in the past engaged in publicity campaigns aimed at indirectly promoting the sale of its Camaro series. The Camaro series has grazed over the years publicity platforms through the film industry. In 2007, the Camaro model received great attention when it was featured in the movie “Transformers.” The publicity campaigns attracted a generation of young and aspiring drivers who saw it as a high performance concept car. In 2012, the third edition of the film hit the theatres. Once again, the Camaro featured in the movie as a high-performance car with extraordinary features (Headley, 2012). Despite there being an element depicting exaggeration of the cars performance in the film, the publicity created increased sales marginally.

Camaro series in the “Transformers’ film.”

Camaro series in the “Transformers’ film
Camaro series in the “Transformers’ film

Public Relations

Public relations involve implementing programs or activities meant to gain public acceptance and understanding. In 2015, Chevrolet introduced a public relations campaign dubbed “A Brand For Me.” This public relations campaign aimed at humanizing the Chevrolet brand, and specifically the Camaro series of cars that the company planned to introduce later in the year. The public relations campaign came amidst falling car sales in the United States among all the major car manufacturers. The campaign aims at reaching out to fans, developing a positive image of the new models including 2016 Camaro, and in expanding the market boundaries. One of the strategies employed in this campaign was to create positive stories or buzz about the new Camaro series.

Personal Selling

Chevrolet greatly employs personal selling as one of its core advertising strategies. Personal selling involves efforts by the sellers to make direct contact with the buyers in a bid to persuade them to make a purchase. Chevrolet has mainly applied personal selling though its wide network of dealers who directly engage customers in the field. Dealers also maintain trained sales representatives who further engage the consumers. Other direct selling efforts are reflected in the online platforms such as the social media. Chevrolet dealers rely on the social media in order to engage the customers directly. In 2015, Chevrolet created a Facebook page meant to enhance personal engagement with the buyers. By the end of the year, the page had gained over 20,000 likes. The page also acted as a platform where Chevrolet could easily obtain feedback from customers.

References

Chevrolet. (2016). Vehicles. Retrieved from: https://www.chevrolet.com/contact/email-us.html

GM Authority Staff. (2016). Chevrolet’s labor day promo offers 0% APR for 72 months on          select 2016 models. Retrieved from: http://gmauthority.com/blog/2016/09/chevrolet-    2016-labor-day-sale-72-months-0-percent-apr/

Headley, L. (2012). Camaro advertising: clever and tempting. Villing & Co.

Published on Dec 1, 2015. 2016 Chevrolet Camaro Commercial. What does your perfect new      2016 Chevrolet Camaro look like? https://www.youtube.com/watch?v=_HDpsYJ_2OM

Wolfington, S. (2006). Courtesy Chevrolet uses internet marketing to sell an additional 85 units a             month. Today Autodealer. Retrieved from    http://www.autodealermonthly.com/channel/dps-office/article/story/2006/08/courtesy- chevrolet-uses-internet-marketing-to-sell-an-additional-85-units-a-month.aspx

Related:

Chevrolet Camaro Situational Analysis